Consumer borrowing reaches new heights


MILWAUKEE JOURNAL SENTINEL: Americans’ loans have reached $3.47 trillion overall.

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MILWAUKEE JOURNAL SENTINEL: Americans’ loans have reached $3.47 trillion overall.

Economist Brian Jacobsen said looking at what goes into overall consumer spending offers a glimpse of where it may be headed.

“For perspective, we need to break consumer credit into multiple parts,” said Jacobsen, chief portfolio strategist at Wells Fargo Funds Management in suburban Milwaukee. “Autos and student loans are at record highs and don’t look very sustainable. Revolving credit, like for credit cards, are just beginning to move higher. I actually view the increase in revolving credit as positive. It’s the first time credit card debt has increased in the course of this economic recovery. That can show consumer confidence and support spending going forward.”

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